FTC Investigating OpenAI ChatGPT Concerns Over Reputation Damage

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The Federal Trade Commission (FTC) is reportedly investigating OpenAI into whether the company’s flagship ChatGPT conversational AI is making “false, misleading, disparaging, or harmful” statements about people.

Washington Post first reported the news, citing access to a 20-page letter to OpenAI requesting information about complaints of insults and damage to reputation. The letter reportedly states that the FTC is “exploring” its investigation, meaning it is still in its early stages and no conclusions have been reached.

It’s not clear what complaints prompted the FTC to start investigating ChatGPT. It is not uncommon for regulators to start random investigations without receiving complaints. However, authorities said they were investigating whether OpenAI failed to adequately monitor and moderate ChatGPT output, and violated its own ethical principles and social responsibility standards.

OpenAI, which was founded in 2015 by a group of leading technology entrepreneurs and researchers, including Elon Musk and Sam Altman, has yet to comment on the investigation, but has previously stated that it is committed to ensuring the safe and useful use of its technology, and that it has implemented various safeguards and filters to prevent harmful or abusive content from being generated by ChatGPT.

Concerns About the Security of AI Chatbots

Despite its success, the chatbot has also raised concerns about its potential for abuse and abuse, as some users have exploited its ability to generate fake news, message spam, phishing emails, and offensive or hateful comments.

The FTC has the authority to impose fines, orders or other legal remedies if it determines that OpenAI has engaged in unfair or deceptive practices that harm consumers or competition. The agency has previously taken action against companies that have misused or mishandled consumer data, such as Facebook and Google.

The investigation into OpenAI is part of a wider FTC effort to regulate the emerging and rapidly growing field of artificial intelligence, which poses new challenges and opportunities for consumer protection and competition policy.

News of the FTC investigation comes the same week that comedian Sarah Silverman and two writers filed a lawsuit against OpenAI claiming the company stole work to train ChatGPT. The plaintiffs allege that the companies used their content without their knowledge or consent, and that they did not properly identify the source of the content. They are suing for damages and an injunction preventing the company from using their content in the future.


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